A group of business partners have created four efficiency residential apartments, called 124 Lofts, in downtown West Dundee that they plan to rent as short-term lodging via Airbnb and other online sites.

A group of business partners have created four efficiency residential apartments, called 124 Lofts, in downtown West Dundee that they plan to rent as short-term lodging via Airbnb and other online sites. (Erin Sauder / The Courier-News)

Short-term lodging has officially been given the green light for West Dundee’s downtown business district.

On Monday, trustees approved amending the village’s code to allow commercial property owners to rent out upper-level residential units for up to 30 days as long as they meet established regulations.

Recently, a group of business partners, including Emmett's Brewing Co. CEO Andrew Burns, created four efficiency residential apartments, called 124 Lofts, with the intent of making them available for short-term lodging via Airbnb and other web-based platforms.

The units are located at 124 W. Main St., above Craft Donuts + Coffee. The West Dundee Emmett’s location is next door at 128 W. Main St.

Village officials said the 124 Lofts development offers another option to the traditional hotels in the area.

“It’s a cool way to introduce people to the community and what the downtown has to offer … the restaurants and shops and RocHaus and of course the public spaces along the Riverwalk,” Community Development Director Tim Scott said. “And it helps spread the word that West Dundee is a charming, quaint destination.”

West Dundee's definition for short-term lodging refers to the rental of an entire unit in order to eliminate the possibility of renting out multiple rooms in a single dwelling.

Property owners who want to offer the amenity must obtain a business license and rental registration and undergo a yearly inspection, Scott said.

The village will also impose a 6 percent hotel and motel tax, the same as it collects from the Courtyard by Marriott in West Dundee.

Scott said for now short-term rentals are only allowed in the downtown business district.

“Could it at some point be discussed for another zoning district? Potentially yes, but we haven’t gotten there yet,” he said.